Q&A: Advance Beneficiary Notice

Q. What should be listed on the Medicare Advance Beneficiary Notice (ABN)?

A. The ABN is a written notice given to traditional Medicare patients when hospital officials believe a service or aspect of a patient’s care will not be covered by Medicare Part B. This means that the patient will be financially responsible for that service if it is provided. To ensure that the patient understands this potential financial liability, the ABN needs to list the following:

• The service
• The cost of the service
• Why the service isn’t covered

The goal of the notice is not to deny the service but to let the patient know that if the patient receives the service, he or she will need to pay for it out of pocket. This allows the patient to make an informed decision about whether he or she wants to proceed with receiving a service that Medicare will not cover.

For more information, see the Observation Services Training Handbook.

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